Executive Summary
Sumitomo Mitsui Financial Group, Inc., together with its subsidiaries, provides commercial banking, leasing, securities, consumer finance, and other services primarily in Japan. More Details
Rewards
Risk Analysis
Snowflake Analysis
Excellent balance sheet average dividend payer.
Similar Companies
Share Price & News
How has Sumitomo Mitsui Financial Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 8316 is less volatile than 75% of JP stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: 8316's weekly volatility (3%) has been stable over the past year.
Market Performance
7 Day Return
-1.1%
8316
-2.4%
JP Banks
-0.5%
JP Market
1 Year Return
-22.1%
8316
-20.3%
JP Banks
4.2%
JP Market
Return vs Industry: 8316 underperformed the JP Banks industry which returned -20.3% over the past year.
Return vs Market: 8316 underperformed the JP Market which returned 4.2% over the past year.
Shareholder returns
| 8316 | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.1% | -2.4% | -0.5% |
| 30 Day | 6.5% | 3.2% | 8.5% |
| 90 Day | -1.1% | -0.9% | 9.6% |
| 1 Year | -16.8%-22.1% | -16.5%-20.3% | 6.8%4.2% |
| 3 Year | -21.8%-32.8% | -30.8%-38.4% | 7.3%-0.2% |
| 5 Year | -15.9%-33.2% | -32.3%-43.3% | 31.0%16.4% |
Long-Term Price Volatility Vs. Market
How volatile is Sumitomo Mitsui Financial Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Sumitomo Mitsui Financial Group undervalued compared to its fair value and its price relative to the market?
32.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 8316 (¥3110) is trading below our estimate of fair value (¥4615.32)
Significantly Below Fair Value: 8316 is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: 8316 is poor value based on its PE Ratio (84.2x) compared to the JP Banks industry average (10.6x).
PE vs Market: 8316 is poor value based on its PE Ratio (84.2x) compared to the JP market (17.3x).
Price to Earnings Growth Ratio
PEG Ratio: 8316 is poor value based on its PEG Ratio (4.8x)
Price to Book Ratio
PB vs Industry: 8316 is overvalued based on its PB Ratio (0.4x) compared to the JP Banks industry average (0.3x).
Next Steps
Future Growth
How is Sumitomo Mitsui Financial Group forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
17.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 8316's forecast earnings growth (17.6% per year) is above the savings rate (0.05%).
Earnings vs Market: 8316's earnings (17.6% per year) are forecast to grow slower than the JP market (17.8% per year).
High Growth Earnings: 8316's earnings are forecast to grow, but not significantly.
Revenue vs Market: 8316's revenue (2.7% per year) is forecast to grow slower than the JP market (5.5% per year).
High Growth Revenue: 8316's revenue (2.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 8316's Return on Equity is forecast to be low in 3 years time (5.8%).
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Past Performance
How has Sumitomo Mitsui Financial Group performed over the past 5 years?
-15.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 8316 has a large one-off loss of ¥111.6B impacting its September 30 2020 financial results.
Growing Profit Margin: 8316's current net profit margins (2.4%) are lower than last year (23.6%).
Past Earnings Growth Analysis
Earnings Trend: 8316's earnings have declined by 15.6% per year over the past 5 years.
Accelerating Growth: 8316's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 8316 had negative earnings growth (-90.1%) over the past year, making it difficult to compare to the Banks industry average (-21.4%).
Return on Equity
High ROE: 8316's Return on Equity (0.5%) is considered low.
Next Steps
Financial Health
How is Sumitomo Mitsui Financial Group's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Financial Institutions Analysis
Asset Level: 8316's Assets to Equity ratio (20x) is moderate.
Allowance for Bad Loans: 8316 has a low allowance for bad loans (76%).
Low Risk Liabilities: 69% of 8316's liabilities are made up of primarily low risk sources of funding.
Loan Level: 8316 has an appropriate level of Loans to Assets ratio (38%).
Low Risk Deposits: 8316's Loans to Deposits ratio (58%) is appropriate.
Level of Bad Loans: 8316 has an appropriate level of bad loans (0.8%).
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Dividend
What is Sumitomo Mitsui Financial Group current dividend yield, its reliability and sustainability?
6.11%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: 8316's dividend (6.11%) is higher than the bottom 25% of dividend payers in the JP market (1.26%).
High Dividend: 8316's dividend (6.11%) is in the top 25% of dividend payers in the JP market (3%)
Stability and Growth of Payments
Stable Dividend: 8316's dividends per share have been stable in the past 10 years.
Growing Dividend: 8316's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (528%), 8316's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.
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Management
How experienced are the management team and are they aligned to shareholders interests?
2.3yrs
Average management tenure
CEO
Jun Ohta (62 yo)
1.67yrs
Tenure
JP¥135,000,000
Compensation
Mr. Jun Ohta has been Group CEO, President at Sumitomo Mitsui Financial Group, Inc. since April 1, 2019 and serves as its Officer in charge of Public Relations Department, Corporate Planning Department, Fi...
CEO Compensation Analysis
Compensation vs Market: Jun's total compensation ($USD1.30M) is below average for companies of similar size in the JP market ($USD1.97M).
Compensation vs Earnings: Jun's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.67yrs | JP¥135.00m | 0.0019% ¥ 80.1m | |
| Senior Managing Executive Officer | 1.5yrs | no data | 0.0012% ¥ 49.4m | |
| SVP (IR Department) | no data | no data | no data | |
| Senior Managing Corporate Executive Officers & Group COO | 0.92yr | no data | 0.00060% ¥ 25.6m | |
| Deputy President | no data | no data | 0.0015% ¥ 62.7m | |
| Senior Managing Executive Officer | 1.5yrs | no data | 0.0014% ¥ 60.5m | |
| Senior Managing Corporate Executive Officer & Group CDIO | 5.67yrs | no data | 0.0014% ¥ 59.2m | |
| Deputy President | 2.67yrs | no data | 0.0015% ¥ 64.4m | |
| Senior Managing Corporate Executive Officer & Head of Retail Business Unit | 2.67yrs | no data | 0.0014% ¥ 58.0m | |
| Deputy President | 3.67yrs | no data | 0.0015% ¥ 65.6m | |
| Senior Managing Corporate Executive Officer & Co-Head of Wholesale Business Unit | no data | no data | 0.0015% ¥ 62.2m | |
| Managing Executive Officer & Co-Head of Asia Pacific Division | no data | no data | no data |
2.3yrs
Average Tenure
59yo
Average Age
Experienced Management: 8316's management team is considered experienced (2.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.67yrs | JP¥135.00m | 0.0019% ¥ 80.1m | |
| Senior Managing Executive Officer | 1.5yrs | no data | 0.0012% ¥ 49.4m | |
| Senior Managing Executive Officer | 1.5yrs | no data | 0.0014% ¥ 60.5m | |
| Chairman of Sumitomo Mitsui Banking Corporation | no data | JP¥128.00m | no data | |
| Chairman of the Board | 1.67yrs | JP¥137.00m | 0.0043% ¥ 181.6m | |
| Independent Outside Director | 3.5yrs | no data | 0.00011% ¥ 4.7m | |
| Independent Outside Director | no data | no data | no data | |
| Independent Outside Director | 5.5yrs | no data | 0.00016% ¥ 6.8m | |
| Director | 1.5yrs | no data | 0.0015% ¥ 65.2m | |
| Independent Outside Director | 5.5yrs | no data | 0.000050% ¥ 2.1m | |
| Independent Outside Director | 5.5yrs | no data | no data | |
| Independent Outside Director | 3.5yrs | no data | 0.00011% ¥ 4.7m |
3.5yrs
Average Tenure
65.5yo
Average Age
Experienced Board: 8316's board of directors are considered experienced (3.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Sumitomo Mitsui Financial Group, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Sumitomo Mitsui Financial Group, Inc.
- Ticker: 8316
- Exchange: TSE
- Founded: 2002
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: JP¥4.262t
- Shares outstanding: 1.37b
- Website: https://www.smfg.co.jp
Number of Employees
Location
- Sumitomo Mitsui Financial Group, Inc.
- 1-2, Marunouchi 1-chome
- Chiyoda-ku
- Tokyo
- 100-0005
- Japan
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SMFN.F | OTCPK (Pink Sheets LLC) | Yes | Common Stock | US | USD | Dec 2002 |
| 8316 | TSE (The Tokyo Stock Exchange) | Yes | Common Stock | JP | JPY | Dec 2002 |
| XMF | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 2002 |
| SMFG | NYSE (New York Stock Exchange) | ADR EACH REPR 1/5 ORD NPV | US | USD | Feb 2003 | |
| XMFA | DB (Deutsche Boerse AG) | ADR EACH REPR 1/5 ORD NPV | DE | EUR | Feb 2003 | |
| 0LAF | LSE (London Stock Exchange) | ADR EACH REPR 1/5 ORD NPV | GB | USD | Feb 2003 |
Biography
Sumitomo Mitsui Financial Group, Inc., together with its subsidiaries, provides commercial banking, leasing, securities, consumer finance, and other services primarily in Japan. It operates through four se...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/12/05 08:08 |
| End of Day Share Price | 2020/12/04 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2020/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.